(Garrett Queen, Robinson & Owen; Peter Hoover, Sisters Habitat for Humanity; Kevin Eckert, Build, LLC; and Mitch Grayson, Robinson & Owen, are shown at the future Larch Commons affordable housing development site | Photo courtesy of Jim Cornelius, The Nugget)
Forget acronyms such as NFL, LOL, CNN or FAQ that permeate headlines and the internet. The three letters that have occupied the time and talents of Scott Woodford these past few years are UGB, which refers to Urban Growth Boundary — a planning tool used in Oregon to ensure communities have enough space for growth over the next 20 years.
As Community Development Director for the City of Sisters, Woodford summarized the progress made by city officials and the community in tackling what he admitted is “certainly a long process with lots of public input, differing opinions, and other factors to take into consideration.”
“We’ve been in this process almost 18 months now working with our UGB Steering Committee (which included both citizens, and elected and appointed city officials) to develop a preferred UGB boundary for the UGB Amendment,” Woodford said. The committee made its boundary recommendation in July, which was passed and unanimously approved in August by the Sisters Planning Commission, which he termed “a real milestone.” It will go before the City Council on September 24.
If approved by the Council, the proposed boundary will be part of a formal land use process to adopt the overall expansion — one that will have to be approved by the City Council and the Deschutes County Board of Commissioners, followed by submission to the State of Oregon Department of Land Conservation and Development for its acknowledgement. “This final approval of the UGB Amendment could possibly occur by early 2026,” Woodford said.
Accommodating Sisters’ projected future growth — approximately double the current population within the next 20 years, according to Portland State University’s Population Research Center — “is what drives the need for this UGB expansion and makes the work we do all the more important,” Woodford emphasized.
He predicted “ebbs and flows in the population over the next two decades, kind of a zigzag, And if population growth exceeds estimates, we’ll adjust our land needs over time. It may also be less than predicted, in which case the expansion land will remain undeveloped. It’s like trying to create a perfect crystal ball, knowing that many factors are beyond our control.”
Woodford explained that while the gross acreage of the recommended UGB boundary totals 314 acres overall, the net acreage — or the amount that can be developed after subtracting environmentally sensitive areas, streets, and open space — is 202 acres. “We need to make sure there is sufficient land to meet our identified future needs for housing, employment opportunities – including retail and light industrial – and parks and schools over the next twenty years.” (A sidenote: no short-term rentals will be allowed in any part of the UGB expansion area.)
Woodford described City Council as “having been extremely engaged and supportive, while prioritizing outreach and education to the community” to ensure what he terms “a transparent, open process” — in fact, going further than what is typically involved.
“We knew this would be a long process going in,” he said, “and we are taking it a step at a time. Both our City Council and most of the community understand the need for planning for the future to help ensure that Sisters continues to be a thriving community — balancing growing a little bit up and a little bit out without compromising our existing character.”
Affordable Housing
Inextricably intertwined with UGB efforts is the continuing need for affordable housing in Sisters, where the median single-family home price has reached $815K (as of the August 2025 Beacon Report) — compared to $750k in Bend, and $506k in Redmond — while average household income is currently pegged at $117,000.
“There is no doubt a discrepancy between income and housing costs in Sisters,” Woodford said, “providing another reason to expand the town’s boundaries, as it represents an opportunity to provide more housing choices, and opportunities for our workforce to live and work in the area. It’s one of the City Council’s highest priorities.”
One tool the Council is considering is a requirement that a certain percentage of units built by development in the UGB meet affordable housing goals. Realizing that leveraging resources are critical to the creation of affordable housing, the City is also exploring other funding sources.
City of Sisters Affordable Housing Projects
According to Woodford, the City of Sisters is continuing to help support the construction of several affordable housing projects for 2025 — “reflecting its commitment to addressing housing needs and ensuring affordable housing options for all residents.”
For example, the City contributed $500,000 in ARPA funds to assist Trinity Place, a 40-unit rental apartment project being developed by Northwest Housing Alternatives that is targeting households making 50-80% of the area median income. “NHA is close to securing its building permit,” said Woodford, “and hope is to break ground this fall.”
Habitat for Humanity
As announced at the end of August by Oregon Housing and Community Services (OHCS), more than $10 million is coming to RootedHomes and Habitat for Humanity affordable housing projects in Sisters and Redmond. In Sisters, $4.75 million was awarded to Sisters Habitat for Humanity for Larch Street Commons and $1.45 million for Sisters Woodlands. Two ribbon-cutting ceremonies on September 5 marked the 82nd and 83rd affordable homes that the nonprofit has built in the town.
Sisters Woodlands & Village Meadows
Construction is underway on four homes in the Sisters Woodlands partnership that will eventually consists of 10 cottage lots integrated throughout the development, rather than clustered together as is generally the case. Habitat’s second project — Village Meadows — has three homes under construction.
Larch Street Commons
Larch Street Commons, located on two development sites near the intersection of Adams and Larch, is currently in the building stage. It involves building 27 affordable and workforce cottages and townhomes over the next three years.
The $10 million project will be funded by various state and local grants, including a City of Sisters Urban Renewal Agency Workforce Grant of $400,000, and a City of Sisters Affordable Housing Grant of $182,000.
The fact that the homes – from 900 to 1,300 square feet in size — are on very small lots “helped make it feasible from a financial standpoint to build,” said Habitat’s Executive Director Peter Hoover. (The City of Sisters Cottage Overlay Zone along Adams Avenue allowed for the housing types featured in the development.)
Housing Works
The August 27 Sisters City Council workshop included a presentation by Executive Director Lynne McConnell on Housing Works, a quasi-governmental regional housing authority that serves Deschutes, Jefferson, and Crook Counties and is the largest provider of housing in the region. She said that since 2015, the organization has graduated 79 people from its housing voucher programs into home ownership, including 12 homes in Sisters.
Housing Works rentals and homes in the town include Ponderosa Heights (located in northwest Sisters); Tamarack Village (North Sisters); and Skygate (northeast Sisters).
Building Up and Out
“It will take all of us as a community, along with a variety of policies and programs, to address the housing and growth issues we face in Sisters,” Woodford said, “and to decide whether to grow by building either up or out. The Council has decided to pursue both options — modestly expanding the UGB, at the same time encouraging and allowing more infill within the existing boundary with higher density allowances for multifamily and reducing the minimum lot sizes for single family and middle housing units, among other things — all the while continuing to prioritize affordable housing. This will result in more opportunities to accommodate new growth, while maintaining our town’s unique character.”
